This extension applies particularly to employees hired during the current financial year. Employers are encouraged to complete this process, starting with the most recent hires, to ensure eligibility for the scheme.

The ELI scheme, introduced in the 2024 Union Budget, aims to boost formal employment and reduce the financial burden on employers. It consists of three components:

Scheme A: Provides first-time formal sector employees with up to Rs 15,000 in three installments, for those earning up to Rs 1 lakh per month.

Scheme B: Subsidizes EPFO contributions for employees and employers in manufacturing jobs for the first four years.

Scheme C: Reimburses employers up to Rs 3,000 per month for two years for hiring new employees earning up to Rs 1 lakh per month.

The deadline extension offers additional time for compliance, which could help create over 2 crore jobs and support economic growth by formalizing employment and incentivizing hiring.